Brexit: Central Bank warns of possible disruption of financial services to the UK

Central Bank warns of possible disruption to financial services to the UK as part of Brexit procedures.

As a result, Irish businesses that rely directly on UK customers will have to provide additional information to their banks, the central bank said.

The central bank regulator said in a statement that customers would need to be provided with more information to monitor the progress of financial transactions and ensure transparency following the procedures as part of Brexit.

Meanwhile, the Banking and Payments Federation of Ireland had earlier warned that the UK would become a third country, adversely affecting the 140,000 recurring direct debits in the coming days.

The Central Bank is also reminding the public that UK-recognized institutions will not be able to provide cross-border financial services to Irish customers as the transition period is over.

The Central Bank also said that Irish customers currently using the services of UK-based financial institutions should contact their service provider and ensure that they are accredited to provide financial services to Irish customers even after Brexit.

At the same time, the bank clarified that insurance policies with UK service providers are valid. However, policies with less than 15 years cannot be renewed after maturity.

Meanwhile, Central Bank Deputy Governor Ed Sibley said the referendum had warned of the need to take necessary precautionary measures in the aftermath of Brexit.

He said that efforts are being made to reduce the impact of the Brexit on financial services, but transactions are likely to be disrupted in the coming days or weeks and he also added that such issues would be assessed and dealt with in a timely manner.